Sinch Ab · OMXSTO:SINCH
Sinch Ab — FY2023 Earnings Presentation
12 slides from Sinch Ab's earnings presentation, Apr 16, 2024
Slide 1: Restated historical segment reporting
Restated historical segment reporting Roshan Saldanha, CFO APR I L 16, 2024 Thomas Heath, Chief Strategy Officer Ola Elmeland, Investor Relations Director
Slide 2: Pioneering the way the world communicates
150,000+ 800bn+ 60+ Scalable cloud communications business interactions countries with platform for messaging, voice and email customers per year local presence Pioneering the way the world communicates SEK 28.7bn SEK 9.5bn SEK 3.6bn net sales in the gross profit in the Adj. EBITDA in the past 12 mo
Slide 3: Changes to our reporting
Changes to our reporting 01 02 03 Reporting changes from Q1 Three operating segments New product categories • Sinch announced changes to its • Integrated sales force now tasked • Financial performance by product operating model on 26 October to sell the full Sinch portfolio. supplements regional seg
Slide 4: New reporting vs earlier disclosure
New reporting vs earlier disclosure Complementary Previous operating segments New operating segments product view SMB APAC Applications Email EMEA Voice API Platform Americas Messaging Network Connectivity Relative size reflects share of gross profit in 2023. 4
Slide 5: Three operating segments
Three operating segments Americas EMEA APAC • Includes both North and Latin • United Kingdom and France are the • India and Australia are the largest America. largest contributing countries by contributing countries by revenue. revenue. • United States is the largest revenue • Led by Wendy Johnstone
Slide 6: Key financials by segment
Key financials by segment SEKm Americas EMEA APAC Total Headline financials Net sales 17,900 6,953 3,892 28,745 Gross profit 6,008 2,116 1,418 9,542 Gross margin (%) 33.6% 30.4% 36.4% 33.2% Share of group total Net sales 62% 24% 14% 100% Gross profit 63% 22% 15% 100% Figures refer to the full year 2
Slide 7: New product categories
New product categories • Software applications for customer engagement supporting use cases across marketing, operations Applications and customer care. • Targets business users. Customer • APIs allow businesses to trigger mobile messaging, Communications API Platform voice calling, and emails from
Slide 8: Product categories by segment
Product categories by segment Americas EMEA APAC Total Net sales Applications 6% 13% 31% 11% API Platform 67% 78% 67% 70% Network Connectivity 27% 9% 3% 19% 100% 100% 100% 100% Gross profit Applications 13% 29% 51% 22% API Platform 56% 69% 46% 55% Network Connectivity 31% 12% 3% 23% 100% 100% 100% 1
Slide 9: Previous segments vs new products
Previous segments vs new products Share of total Messaging Voice Email SMB Net sales Applications 3% 1% 24% 100% API Platform 92% 26% 76% – Network Connectivity 5% 73% – – 100% 100% 100% 100% Gross profit Applications 11% 2% 23% 100% API Platform 81% 36% 77% – Network Connectivity 8% 62% – – 100% 10
Slide 10: Updated Opex disclosure
Updated Opex disclosure Previously reported Will now report group Adjusted Opex by segment Adjusted Opex by function Other • Sinch reports group costs by nature, Sales & this remains unchanged. SMB marketing • Opex, EBITDA and Adjusted EBITDA Email will be reported for the group, but not by operatin
Slide 11: Thanks!
Thanks! For more information, contact: Ola Elmeland Investor Relations Director investors@sinch.com
Slide 12: Select definitions
Select definitions Gross profit Operating expenses Net sales less the cost of services sold. Operating expenses are defined as the difference between gross profit and EBITDA and consist of the following items: Other operating income, Work EBITDA performed by the entity and capitalized, Other externa